Somebody may thing that he/she is going to fall again into the trap of 96 when helpless condition touched all people’s heart across the country. There was a time when people especially investors did not know abc of stock. Like the advertise DIN BODOL HOISEY NA BABA, across the country lacks of people are already conscious and becoming conscious about the stock of Bangladesh. With the pacific knowledge many of us now a day avoid the so-called news that is rumor. For example, a few days ago some people said me to buy 2 stocks but I found technically they were very weak and may go down very quickly, I resisted myself from them, I found after two days the stocks broke down the nearest support and falling gradually. The rumor was about BD Welding and Golden Son and both are in the hand of so-called syndicates and they will drag them up. Where everyday is going to be changed and research work is finding its momentous shape, we should not heed at least at others gossip.Anyway, DSE Gen Index is strengthening day by day by the blessing of new IPOs which is very much needed for an infant stock market. Volume is increasing day by day and it is the first reason why market is not making correction going down. Hence market will make correction by sliding and it is the normal behavior of a good stock market. Money injecting by new IPOs is other reason for RSI over bought. Market will make other boom probably that is clearly seen by the squeeze of Bollinger Band. After 10 to 15 days market will make a big movement that is found by its technical analysis. One thing is clearly visible that some sectors along with technology sectors have already made a big movement. In the mean time some stock again made correction going down. As DSE Gen broke the last resistance and sliding so it will find other resistance, and it may be at 3600. we find that MACD is making crossover but making less gape that shows positive sign. In this case market a few days will be moving up very slowly as correction. After this correction we will find a big advance.
I strongly recommend investors not to buy Z categories stocks, and even some hot stock like Padma Cement. But I upgraded some companies like Bextex, Beximco, Daffodil, Intech, Agnisystem, Bd Com along with some other B categories stocks. I upgraded Heidalberg Cement for short term period as hot stock and rated as BUY besides Bextex and Aims 1st. Along with them all are for the short term period. For long term one should not make advance rather time will indicate them. Before January I do not find any sign of positive movement in Banking sectors.
Written by – Shah, Financial Analyst, LSE/DSE. Managing Director - Earth Movers.
Email – s.anaym@yahoo.com, earthmvrs@gmail.com

While U.S. stocks started off a new quarter, market analysts pointed to an uncertain economic climate in couching their predictions for how the market will perform for the remainder of the year.
